S&P 500
The S&P 500 initially fell during the day on Wednesday, but with the Federal Reserve suggesting that there are going to be less interest-rate hikes than originally anticipated, the markets got moving yet again. The market looks as if it is ready to go higher but there’s a lot of noise between here and 2100 and as a result I don’t think that it’s going to be an easy move. I think we will have to buy this market on short-term pullbacks for short-term moves and nothing more than that.
I believe that the 2000 level is essentially the “floor”, while the 2100 level is essentially the “ceiling.” Because of this, it is only a matter of time before volatility returns in my estimation but I do recognize that there is more of a bullish bias in this market than anything else.
Nasdaq 100
The Nasdaq 100 initially fell during the course of the day on Wednesday, but found enough support below the 4350 level to turn things around and form a positive candle. We have touched the 4400 level, and I believe that we are now reaching towards the 4500 level. With the easy money out there, it makes sense that stocks will continue to strengthen overall, and because of this I believe that every time we pullback it’s a buying opportunity. This is a market that most certainly look strong, and with low interest rates out there it makes sense that stock markets continue to go higher. Selling isn’t even a thought at this point in time, because quite frankly not only do we have the interest-rate situation, but we also have a massive amount of support just below current trading levels. With this, I believe that we are going to at least the 4500 level, and now I’m starting to wonder whether or not we can even go beyond that, perhaps reaching towards 4725.
